Replies to post #67 on SurModics Inc (SRDX)

[DewDiligence]

>Does the Conor "low single digits" royalty refer to a percentage, or to a dollar figure as cmini123 feels?<

Royalties per unit have never been expressed as raw dollar amounts by any company I’ve followed. I think it’s clear he meant 2-3% (not $2-3).

[cmini123]

The royalty number has been confirmed by Conner management, and it’s low single digit dollars not percentage points. That distinction was asked a second time for clarity from the management team, definitely dollars. The Rodman and Renshaw analyst initially guessed a $5 number his SRDX report, he later confirmed with CONR management that number was too high.

The driver itself only costs ~$250, so a 1% royalty rate on the driver would result in $2.50 to SRDX. So they could earn equivalent royalty rates, just the product is a lower price point